Federal pay equity process begins

The federal pay equity process is underway to ensure that workers in women-dominated jobs receive equal pay for work of equal value. 

On August 31, 2021, all federally regulated employers became subject to the new proactive pay equity legislation. The new legislation replaces an ineffective complaint-based pay equity model.

PIPSC worked with Employment and Social Development Canada (ESDC) to develop the regulations that will implement the legislation.

Under the legislation, employers and unions must work together to establish a pay equity committee that will develop and implement a pay equity plan by 2024. PIPSC classification agents will be coordinating pay equity projects and representing your interests throughout the process.

Pay equity process

As a first step, employers must post a notice setting out their pay equity obligation by November 1, 2021. Joint employer-union committees will then develop pay equity plans to check that employees are receiving equal pay for work and to resolve any pay gaps.

A Pay Equity Commissioner will provide further support to the committees and offer any dispute resolution services should the need arise. 

Finally, the plans will be reviewed and updated at least every 5 years, ensuring the employer’s compensation policies remain free of gender bias.

How to get involved

If you have any concerns or want to inform us of developments in your workplace, please email compensation@pipsc.ca. We will keep you updated as the process unfolds.